Penalty Owed to a Government Agency Due to Fraud is Dischargeable in Chapter 13 Bankruptcy

By Ansley Owens, Contributing Writer and Intern for the NACTT Academy (Nashville, TN)

The U.S. Bankruptcy Court for the Eastern District of Michigan recently determined that a Chapter 13 debtor could discharge a government penalty against her even though it arose from fraud. Michigan Unemployment Insurance Agency v. Priscilla Annette Andrews (In re Andrews), No. 15-46058, 2015 WL 5813418 (Bankr. E.D. Mich. October 2, 2015).

The Michigan Unemployment Insurance Agency (the “Agency”) claimed that Priscilla Andrews (the “Debtor”) was overpaid $6,897 in unemployment benefits because she intentionally failed to disclose wages from . . .

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Taxpayers with Expiring ITINs Should Renew Them Now

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Taxpayers with expiring individual taxpayer identification numbers should renew their number ASAP. There are nearly 2 million ITINs set to expire at the end of 2019. Taxpayers with an expiring number should renew before the end of this year. This will help avoid unnecessary delays related to their tax refunds next year. ITINs are used by taxpayers required to file...

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The Honorable William Houston Brown

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